Bobbys Corner-Open Market-March.15.2010

Good Morning:

GBP was the main driver in overnight markets as Moody’s warned the UK (and US) of losing their AAA rating, The UK’s political problems and poor UK housing data also contributed to sterling’s woes.

In the Euro Zone, no political decisions have been made  regarding an aid package for Greece.  Greece has not asked for any direct aid as of yet.  The Greek government insists it will work out it’s debt problems themselves.   EU ministers begin a 2 day meeting in Brussels today to discuss the Greek debt issue.

World equity markets were mostly lower-and US futures are also pointing to a lower opening this morning.
Commodities were mostly lower-lead by metals.  Concerns that China and India may restrict economic growth to curb inflation, lead to the drop.

Oil:$80.79                                                  Gold:$1106.20

HAVE A GREAT DAY & GOOD LUCK

Bobbys Corner-Open Market-March.10.2010

Good Morning:

German exports unexpectedly dropped in January, which pushed the Euro lower.  This is seen as another sign that the European economy is still struggling to gain traction from the global recession.
The GBP remains weak as political and economic woes continue to plague the U.K.

The Bloomberg Professional Global Confidence Index fell to 53.8 from 54.9.  This survey shows that global confidence dropped for a second month, with Greece’s debt crisis being the main culprit in undermining the global recovery. 

Asian equity markets fell, while European markets are  higher.  Dow futures are flat at this time.

Oil:$81.79                                           Gold:$1126.50

HAVE A GREAT DAY & GOOD LUCK

UK Manufacturing and Production

The GBP fell slightly after the release of worse than expected manufacturing and production out the UK.

• Industrial Production (m/m) - Survey: 0.3%   Actual: -0.4%   Prior: 0.5%
• Industrial Production (y/y) - Survey: -0.8%   Actual: -1.5%   Prior: -3.6%
• Manufacturing Production (m/m) - Survey: 0.2%   Actual: -0.9%   Prior: 0.9%
• Manufacturing Production (y/y) - Survey: 1.4%   Actual: -0.2%   Prior: -1.9%

Bobbys Corner-Open Market-March.9.2010

Good Morning:

As world equity markets snap 2 days of gains-the JPY advanced as investors look for a “safer haven” for their funds.
The JPY also gained as speculation mounts that Japanese companies are repatriating profits before the end of the fiscal year.  New tax breaks initiated by the Japanese government may lead to “larger than normal” repatriations.
The GBP lost ground overnight as Moody’s Investor Services said that U.K. banks creditworthiness may be at risk.

World equity markets are lower as companies report earnings that missed estimates, along with concerns that the year long rally in stocks cannot be sustained . 
Commodities are lower, and government bonds rose.

Oil:$80.42                                        Gold:$1117.70

HAVE A GREAT DAY & GOOD LUCK

Fitch’s Brian Coulton comments on U.K. in London speech

During a speech today in London, Fitch’s Brian Coulton made the following negative remarks regarding the U.K.

*expects U.K. fiscal consolidation

*U.K. sovereign credit profile deteriorated pretty sharply

*outlook for U.K. economy is quite uncertain

*U.K. economy proceeds with an important source of caution

*U.K. fiscal adjustment too slow at a pedestrian pace

Gbp/Usd is currently trading at session lows of 1.4945.

UK PPI

The results of the PPI data out of the UK was mixed, but the market had a limited reaction to release. The details are as follows:

• PPI Input (m/m) - Survey: 0.1%   Actual: 0.1%   Prior: 2.0%
• PPI Output (m/m) - Survey: 0.2%   Actual: 0.3%   Prior: 0.4%

UK Bank Rate

As expected, the Bank of England held the UK interest rate at 0.5%. Additionally, the asset purchase facility is 200B; in line with the forecast and prior reading. The Bank of England made no statements after the policy decision.

Halifax HPI m/m

The GBP fell slightly after the Halifax HPI, which measures the change in the price of homes financed by the Halifax Bank of Scotland, came in at -1.5%; worse than the forecast of 0.3% and prior reading of 0.6%.

Next Page »